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Dec 24, 2012
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. >> mario monti is saying he's available to lead italy. he'll run for office in the upcoming election, but only for a party willing to push his agenda. >>> but he has competition in the form of sylvia berlusconi. he tells cnbc he feels a responsibility to run. >> feel the need to return to the political arena to prevent the country from being delivered into the hands of a leftist party. >> and the crowds are out, the stores are ringing up those sales, but u.s. shoppers may be running low on holiday spirit. and analysts say that they're spending less, as well. hi, everybody. welcome. merry christmas out there. thank you for joining us here on the show. what we're looking at today, we've got slightly quiet markets ahead of the u.s. open. what we're seeing, though, that all the markets are being called lower across the board stateside. the dow is being called a bit lower, nasdaq is being called a bit lower and the s&p 500 being called down by a bybit, as well. we saw markets coming off on friday stateside. pretty significant drops, as well, g
. >> mario monti is saying he's available to lead italy. he'll run for office in the upcoming election, but only for a party willing to push his agenda. >>> but he has competition in the form of sylvia berlusconi. he tells cnbc he feels a responsibility to run. >> feel the need to return to the political arena to prevent the country from being delivered into the hands of a leftist party. >> and the crowds are out, the stores are ringing up those sales, but u.s....
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Dec 14, 2012
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can the government get the debt under control in italy? >> you know, we started to manage our spending review last year when government took place. there was a huge parliamentary alignment around the agenda of the prime minister because the crisis effect was that there was no alternative, so everyone had to really support an agenda of tackling the control of costs and tackling the reforms that every country needs, every democracy needs. the agenda was put in place so fast that it had an effect also on the italian reputation and negotiating power versus the other european countries, and the effect of that, all the measures that the ecb took after those alignment really gave big confidence to the world markets. when draghi said the ecb is going to do anything that is necessary to avoid a euro collapse. that was really a strong message to the market. >> yeah, that really kept rates, you know, in check. that really helped rates because that was a vicious psych. the last time i was in italy there was a feeling on the ground that people were ups
can the government get the debt under control in italy? >> you know, we started to manage our spending review last year when government took place. there was a huge parliamentary alignment around the agenda of the prime minister because the crisis effect was that there was no alternative, so everyone had to really support an agenda of tackling the control of costs and tackling the reforms that every country needs, every democracy needs. the agenda was put in place so fast that it had an...
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Dec 11, 2012
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italy has the wealth, italy has the industrialization, it has the export. italy really could make a go of it. we didn't see any productivity in the last decade. it should have made italy stronger. i personally am much more concerned about france and spain than i am about italy. >> we'll talk about those. >> let me add asking. if italy is in this situation now, it relied on the easy way out. and politicians, including berlusconi, didn't have the foresight to see that. >> thank you so much for coming by. >>> staying at the eurozone, investors will be watching for anything coming from the italian crisis. the results of the spanish bond actions are due around 12:40 cst. hsbc was hit with a $1.9 billion fine. the ceo said we accept responsibility for our mistakes and are profoundly sorry for them. >> a full year loft loss of 4.7 billion euros, thinksen krup has more details. >> they are starting to look at the positive of what i would call a -- strategy, i.e., a clean sweep when it comes to the business strategy of thyssenkrupp as well as the instruct occur and
italy has the wealth, italy has the industrialization, it has the export. italy really could make a go of it. we didn't see any productivity in the last decade. it should have made italy stronger. i personally am much more concerned about france and spain than i am about italy. >> we'll talk about those. >> let me add asking. if italy is in this situation now, it relied on the easy way out. and politicians, including berlusconi, didn't have the foresight to see that. >> thank...
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Dec 10, 2012
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no rest for italy. banking stocks lead the ftse mib lower as political uncertainty speaks investors. economic malaise in europe, japan and the u.s. all taking its toll. and obama and boehner meet face-to-face as the clock ticks towards the fiscal cliff. >>> china's growth has recently improved. may well be on track to surpass beijing's 7.5% gdp target for the year. but november's softer than expected trade data highlights the vulnerability to riskes from abroad. joining us more now is eunice eune. how likely is it that we see china hit or surpass these growth targets given the figures showed us? >> well, people are growing concerned about just that. the trade data really highlighted a lot of the problems going forward in terms of the global demand for chinese-made goods. people were really surprised about the export data which came in at 279% growth. everybody had expected to see 9% growth which would already have been a slowdown. they were also quite surprised by the import number, which came in at zer
no rest for italy. banking stocks lead the ftse mib lower as political uncertainty speaks investors. economic malaise in europe, japan and the u.s. all taking its toll. and obama and boehner meet face-to-face as the clock ticks towards the fiscal cliff. >>> china's growth has recently improved. may well be on track to surpass beijing's 7.5% gdp target for the year. but november's softer than expected trade data highlights the vulnerability to riskes from abroad. joining us more now is...
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Dec 28, 2012
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especially in the case of italy. the country is fulfilling conditions of the ecb if it ever got into needed. it made the fiscal adjustment that was needed. if the country exits recession which we expect to happen next year and the growth at a potential growth rate of say 1 mers, 1.5%, with inflation under control, with interest rates back to levels which were normal for italy before the financial crisis, then all these adjustments altogether show that italy can go back on to a sustainable growth path and -- >> is that with or without berlusconi involved? because end of february are these elections. >> yes. the elections are, of course, more the campaign heading into the elections with all these noises, especially the end ecb noises that we hear from italy. that's going to cause concern that if italy does need help, how likely are they going to be to get it? in the years from 1993 to 2007 italy brought down its debt to gdp ratio to almost 100% and half of that time berlusconi is prime minister. it's not like berluscon
especially in the case of italy. the country is fulfilling conditions of the ecb if it ever got into needed. it made the fiscal adjustment that was needed. if the country exits recession which we expect to happen next year and the growth at a potential growth rate of say 1 mers, 1.5%, with inflation under control, with interest rates back to levels which were normal for italy before the financial crisis, then all these adjustments altogether show that italy can go back on to a sustainable...
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Dec 13, 2012
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italy has a dead auction coming up later in the show. as for spain and germany, they are seeing yields drip lower this morning, as well. back across the board, the guilt down 1.82%. the euro/dollar was barely weaker the last time we checked and now it's drifting a little further. 1.3064. it's still above that level. and the dollar/yen now receding to almost flat if not a little lower on the morning. now european leaders are expected to agree on the next tranche of aid for greece when they meet today. sylvia is in brussels to follow aus of these negotiations for us. sylvia, a torturous route for greece. are they finally going to get this money? if so, what does that change. >> well, it at least gives them a bit of breathing space. it doesn't change anything in terms of the overall dismal situation of the country. there was a letter of the german finance minister yesterday, written so it is by one of the deputies to the german bundes stock where he basically said, we are ready to sign up the next package for greece. this has not been confi
italy has a dead auction coming up later in the show. as for spain and germany, they are seeing yields drip lower this morning, as well. back across the board, the guilt down 1.82%. the euro/dollar was barely weaker the last time we checked and now it's drifting a little further. 1.3064. it's still above that level. and the dollar/yen now receding to almost flat if not a little lower on the morning. now european leaders are expected to agree on the next tranche of aid for greece when they meet...
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Dec 19, 2012
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and italy and spain seeing yields coming down. italy below 4.4%. you know, when it comes to the urgency with regard to italy or, say, spain asking for help, you can understand why policymakers are reluctant and probably will be until their hand is forced. spain below 5.4%. the euro dollar is stronger as is sterling. euro/dollar adding .3%. nearly 133. remarkable if you consider all that we've been through. perhaps a headwind again for the periphery that would prefer to see a lower exchange rate. meantime, also the dollar/yen one to focus on, adding about -- just about .2%, just under.2% today, 84.35 the level there. for more on what the weaker yen has been doing to support trade in the nikkei and across asia, let's get to deirdre wang morris, joining us from singapore. hi. >> reporter: hey, kelly. that weaker yen has been doing a lot to continue to fuel the rally that we are seeing in japanese equities. now another thing that it's doing is heaping pressure on the governor there. they began their two-day policy meeting today. and expectations are ve
and italy and spain seeing yields coming down. italy below 4.4%. you know, when it comes to the urgency with regard to italy or, say, spain asking for help, you can understand why policymakers are reluctant and probably will be until their hand is forced. spain below 5.4%. the euro dollar is stronger as is sterling. euro/dollar adding .3%. nearly 133. remarkable if you consider all that we've been through. perhaps a headwind again for the periphery that would prefer to see a lower exchange...
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Dec 27, 2012
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does it matter for italy? we haven't seen yields move much. >> i think the main reason, they're quite different to spain and italy. and markets ignored them. we're all fairly aware of that financing model. i think at some point next year it will probably break down. >>> president mohammed morsi has congratulated egyptians for a new constitution. in a tv address to the nation, mr. morsi said changes maybe necessary. the document is too islamist and has rejected the call for dialogue according to some. >>> a super winter storm that pounded the southeast and midwest is now pounding the northeast. the storm has created havoc on roads and at the airports and this as people start returning home after christmas. more than 1800 u.s. flights have been canceled since tuesday. makes the fact that a lot of usair line stocks were at 1 1/2 year highs yesterday. >>> a u.s. federal jury has found martel in patent violations. carnegie mellon sued marvell in 2009. the company is now hopeful the judge will reverse the verdict, b
does it matter for italy? we haven't seen yields move much. >> i think the main reason, they're quite different to spain and italy. and markets ignored them. we're all fairly aware of that financing model. i think at some point next year it will probably break down. >>> president mohammed morsi has congratulated egyptians for a new constitution. in a tv address to the nation, mr. morsi said changes maybe necessary. the document is too islamist and has rejected the call for...
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Dec 10, 2012
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and italy together. so, there is a contagion factor here, as well. so -- >> walk us through the trade that you got. >> sure, so, i'd like to short the euro, but not against the dollar, because i think the dollar will stay weak until the fed meeting. i'm going to short it against the yen. i enter at 106.50, the current level it's trading. a target down at 104 and my stop is up at 107.50. >> all right, amelia, thank you. see you on friday. >> thank you. >>> let's check in with jane, see what's she's looking at next. jane? >> next, melissa, you have to ask yourself, how much do you love starbucks? do you really love it? and also, who should play john mcafee? preferably, someone who is living. we'll have some ideas when we come back. let's give thanks - for an idea. a grand idea called america. the idea that if you work hard, if you have a dream, if you work with your neighbors... you can do most anything. this led to other ideas like liberty and rock 'n' roll. to free markets, free enterprise, and free refi
and italy together. so, there is a contagion factor here, as well. so -- >> walk us through the trade that you got. >> sure, so, i'd like to short the euro, but not against the dollar, because i think the dollar will stay weak until the fed meeting. i'm going to short it against the yen. i enter at 106.50, the current level it's trading. a target down at 104 and my stop is up at 107.50. >> all right, amelia, thank you. see you on friday. >> thank you. >>> let's...
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Dec 18, 2012
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there is now flows again from italy into spain. we're seeing in portugal yields are falling further. all in all, this is sending a general message that the risk premium are coming down and continue to be gradually reduced. >> and how much more momentum is there? we've been waiting for the forced hand on spain. but frankly, there's little sign of pressure right now. >> i fully agree. as long as this continues, the probability of spain moving into such a program is coming down. obviously, the big question out there is whether we will see this translate into some sort of better market position. but for a second leg down in substantial lower yields, you would want to see improving economic conditions in these countries and improving deficites and stabilization in debt to gdp ratios. and i think that is still a long way off. so i wouldn't be surprised if sentiment changes in the course of next year. but it doesn't seem to be something that will happen over the next one or two months. >> let's talk about next year. ing does ease systemic
there is now flows again from italy into spain. we're seeing in portugal yields are falling further. all in all, this is sending a general message that the risk premium are coming down and continue to be gradually reduced. >> and how much more momentum is there? we've been waiting for the forced hand on spain. but frankly, there's little sign of pressure right now. >> i fully agree. as long as this continues, the probability of spain moving into such a program is coming down....
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Dec 12, 2012
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that was the big discussion in italy yesterday. berlusconi says spreads, this is really just a scam. monty says we should care about spreads. want to bring in a third opinion. let's talk about bepo grillo, founder of the five-star movement. not a political party but a movement which benefits from voters' disenchantment with mr. berlusconi and mr. monty. he agrees with mr. berlusconi on one thing. he says spreads are all just based on speculation. >> translator: the spread is completely detached from the real economy. the spread is mental hallucination created by speculation in the banking sector because half of the italian debt is owned by foreign banks. these banks try to get high rate in order to earn more. so we are a victim of banking speculation, of both foreign and domestic banks. we shall detach from the real economy. we need to stop this vicious cycle of debt that is strangling us. >> reporter: many would argue it's the right time for mario monty to leave the political scene. would you agree? >> translator: he needs to disa
that was the big discussion in italy yesterday. berlusconi says spreads, this is really just a scam. monty says we should care about spreads. want to bring in a third opinion. let's talk about bepo grillo, founder of the five-star movement. not a political party but a movement which benefits from voters' disenchantment with mr. berlusconi and mr. monty. he agrees with mr. berlusconi on one thing. he says spreads are all just based on speculation. >> translator: the spread is completely...
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Dec 7, 2012
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there's also no political crisis in italy by the way. support has been withdrawn for the group run by monti. berlusconi hinted he may return to politics after stepping down last year. claudia joins us in milan. a number of reports suggested this may not upset investors too much just because we were going to have elections anyway, it doesn't bring it forward a lot earlier. is that the sense that you're getting? >> yes, it doesn't really change in terms of the timing. it just gives you an idea, though, of where berlusconi stands and what the situation is like within that central right next. the pdl has made it clear that there is a serious disagreement within the party. they were set to go forward with some primaries which is what the center left did to elect their candidate. and now that berlusconi has abruptly announced that he's going back, that tells you there is a lot of tension. he's trying to define the support, enough support in order to have some say in parliament even after the elections. an apparently he probably was not able to
there's also no political crisis in italy by the way. support has been withdrawn for the group run by monti. berlusconi hinted he may return to politics after stepping down last year. claudia joins us in milan. a number of reports suggested this may not upset investors too much just because we were going to have elections anyway, it doesn't bring it forward a lot earlier. is that the sense that you're getting? >> yes, it doesn't really change in terms of the timing. it just gives you an...
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Dec 21, 2012
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we're seeing a rotation into safety, out of risk and out of spain and italy. about 4.5% for italy. thin trading in markets is exacerbating the move that we're seeing as we approach the year. today, the austy dollar is weaker against the u.s. dollar by about .4%. proxy there for global growth prospects. the dollar/yen is weaker by about .25%. this as markets digest the news out of the boj and gauge whether they'll be successful in boosting inflation ultimately. the euro/dollar, 1.3221. so for trading in asia, just how japan, china and the rest have been affected by fiscal cliff news, diedra morris is join onning us with plenty more. hi. >> hey, kelly. it was a bit of a rude awaking. a lot of these indexes were on their way to gains and then we had the fiscal cliff setback. we had news that john boehner's plan b failed. this all turned red and this is where we ended. the nikkei 225 coming back from that huge rally that we have seen over the last five weeks shedding 1%. the exporters hurt here because the dollar/yen was lower. it has regained some ground in the last few hours or so. t
we're seeing a rotation into safety, out of risk and out of spain and italy. about 4.5% for italy. thin trading in markets is exacerbating the move that we're seeing as we approach the year. today, the austy dollar is weaker against the u.s. dollar by about .4%. proxy there for global growth prospects. the dollar/yen is weaker by about .25%. this as markets digest the news out of the boj and gauge whether they'll be successful in boosting inflation ultimately. the euro/dollar, 1.3221. so for...
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Dec 20, 2012
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spain, italy, moving higher, but not too much of a move there. 5.3%. and 4.4 for italy. now, forex rates, the euro/dollar and the yen has been in focus still in the last several trading sessions and that continues today. 1.3230 is the level. the yen, though, is giving back about .5% after the bank of japan's quantitative easing plans, pretty much flecting a buy the rumor, sell the fact move. now, house republicans plan to bring their tax bill to a floor vote today. this as tensions over the white house over the fiscal cliff have started to rise. it's unclear what the bill, known as plan b, will look like. house speaker john boehner has reportedly added spending cuts to convince members it will be worth the vote. president obama has threatened to veto the bill. the president says he's puzzled by what's holding up budget talkes and that house republicans should stop trying to score a point against him. >> take the deal. you know, they will be able to claim that they have worked with me over the last two years to reduce the deficit more than any other deficit reduction pack
spain, italy, moving higher, but not too much of a move there. 5.3%. and 4.4 for italy. now, forex rates, the euro/dollar and the yen has been in focus still in the last several trading sessions and that continues today. 1.3230 is the level. the yen, though, is giving back about .5% after the bank of japan's quantitative easing plans, pretty much flecting a buy the rumor, sell the fact move. now, house republicans plan to bring their tax bill to a floor vote today. this as tensions over the...
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Dec 10, 2012
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silvio berlusconi is not going to end up running italy. i think perhaps a bigger issue at this stage, and this is from deutsche bank whether the virtual intervention we've had, the ecb saying we will intervene if we have to, may now be wearing a little bit thin. there is a knee-jerk reaction. the italian banks, they're all down. they're clogging up the bottom of the stock 600 in europe. so the banks have fallen. some of the industrials have also been marked lower in italy. today for example you could see with alitalia, and telecom italia is also lower. you see a spike higher in italian yield. you'll see the headlines, and they'll be raging about it. bear in mind where we actually are on this quite high yield relative to where we've been. let's get some perspective on what has happened. what i think is more interesting is the fact that it's moved over to spain. do you remember when we had that bad auction. the spanish didn't get as much debt away last tuesday and that really spooked the markets, potentially we're reaching a point at which t
silvio berlusconi is not going to end up running italy. i think perhaps a bigger issue at this stage, and this is from deutsche bank whether the virtual intervention we've had, the ecb saying we will intervene if we have to, may now be wearing a little bit thin. there is a knee-jerk reaction. the italian banks, they're all down. they're clogging up the bottom of the stock 600 in europe. so the banks have fallen. some of the industrials have also been marked lower in italy. today for example you...
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Dec 3, 2012
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the big difference on this front between italy and spain is that italy has a big fall in redemptions next year when it takes off pressure for sly flex year. spain has the opposite problems, a rise next year. so it's technically done for this year and the reason it's funding is to take some of the pain away from next year. and again these options get done and it isn't a big drama. they do have to get digested. but the primary dealers do take the bontds down and i'll expect no difference different on wednesday. >> so for the moment, no pressure relatively speaking. and yet we're now looking at the downgrades for the bailout programs, as well. so how does that play into things? >> the downgrade announced overnight was as expected. this followed the downgrade to france last week by moody's. the fsf has taken the standpoint that they need to be a top rated agency, not necessarily aaa, but they could find a way to make themselves aaa, but they've decided to accept the rating of aa plus. it doesn't really change an awful lot. it wasn't a huge surprise. and as we go in next year, we'll have
the big difference on this front between italy and spain is that italy has a big fall in redemptions next year when it takes off pressure for sly flex year. spain has the opposite problems, a rise next year. so it's technically done for this year and the reason it's funding is to take some of the pain away from next year. and again these options get done and it isn't a big drama. they do have to get digested. but the primary dealers do take the bontds down and i'll expect no difference...
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Dec 4, 2012
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italy for example is still very clean. so it depends. >> other news we're following, a bomb has exploded in the offices of golden dawn early this morning. police sources have told reuters there was damage caused to the building in an athens suburb, but no casualties. >>> and in the states the white house and top democrats are dismissing the budget proposal put forward by republicans saying it doesn't address the president's pledge to hike taxes on the wealthy. the plan includes $800 billion in new tax revenues by cutting loopholes and deductions, but leaves the bush era tax cuts in place for everyone. that's half of what the president has proposed. it also cut $1.2 trillion in mandatory and discretionary spending. the republican plan includes $600 billion in entitlement savings and raising the eligibility age for medicare and changing how cost of living increases are calculated for social security. white house officials say the two sides will continue to negotiate ways to avoid the year end fiscal cliff. >>> and president
italy for example is still very clean. so it depends. >> other news we're following, a bomb has exploded in the offices of golden dawn early this morning. police sources have told reuters there was damage caused to the building in an athens suburb, but no casualties. >>> and in the states the white house and top democrats are dismissing the budget proposal put forward by republicans saying it doesn't address the president's pledge to hike taxes on the wealthy. the plan includes...
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Dec 24, 2012
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italy closed for trade. the smi closed for trade. we've got the ftse 1100 a couple of points higher. the cac and the ibex 35 just off marginal marginally, as well. i would like to show you what type of performance we've had on a year-to-date basis. rising somewhere in the region of 15% since the beginning of this year. you will note that we have had had a bit of a rally heading towards december. the question is whether we'll see that continue into next year. looking at a slightly broader base, the 600 index here, year-to-date higher by 15%, as well. europe's largest economy, the german market seeing some pretty significant gains as well as the dow jones stocks 50 up by 50%. so this brings its up, can it really continue next year? that's when you want to glance at barons, indicating over the weekend you could be looking at a rally. 20% next year. they singled out a number of stocks that they mentioned next year. by the way, andrew one look like one of the little elves in denmark dressed in my parents' garden. it's very sweet. >> do yo
italy closed for trade. the smi closed for trade. we've got the ftse 1100 a couple of points higher. the cac and the ibex 35 just off marginal marginally, as well. i would like to show you what type of performance we've had on a year-to-date basis. rising somewhere in the region of 15% since the beginning of this year. you will note that we have had had a bit of a rally heading towards december. the question is whether we'll see that continue into next year. looking at a slightly broader base,...
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Dec 14, 2012
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down with the euro and italy has to walk its own way. that is not something that we would like to hear in the eu eurozone or in berlin. >> silvia, thank you so much for your time. >>> now, a weak ahead of the person of the year, the winner, north korean leader kim jong un. the magazine didn't admit that various online campaigns were at work to influence the vote. not necessarily a legitimate tell on who readers would like to see as person of the year. so we're going to cast our own poll on "worldwide exchange." who is your pick for person of the year? e-mails us here, tweet us. i think ross westgate gets my nod. we'll see if maybe he comes out ahead in our unofficial reader poll. staying on that topic, the financial times has named its person of the year. we'll tell you who it is and talk to the newspaper's editor when we come back. can i help you? i heard you guys can ship ground for less than the ups store. that's right. i've learned the only way to get a holiday deal is to camp out. you know we've been open all night. is this a trick
down with the euro and italy has to walk its own way. that is not something that we would like to hear in the eu eurozone or in berlin. >> silvia, thank you so much for your time. >>> now, a weak ahead of the person of the year, the winner, north korean leader kim jong un. the magazine didn't admit that various online campaigns were at work to influence the vote. not necessarily a legitimate tell on who readers would like to see as person of the year. so we're going to cast our...
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Dec 10, 2012
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big political news out of italy, shaking that market overnight and sending yields surging. word that prime minister mario monti will resign early and that silvio berlusconi is considering a comeback. carolyn roth is live in rome with the very latest. what can you tell us? >> well, the perceived political calm that we've seen in italy over the last 13 months, that came to a very abrupt end over the weekend. that's when prime minister mario monti surprisingly resigned, which still hinges on the passage of a budget law before the end of the year. at the same time, very controversial former prime minister silvio berlusconi also said he is run fog are the prime minister post again. so this is got markets extremely wore rid. here's why. because markets are concerned that the new government would be elected on february 24th, that this new government will not be implementing the austerity measures that mr. monti has implemented over the last couple months. but is this concern actually warranted? well, if you speak to a number of analysts, well they'll say, no, because if you look a
big political news out of italy, shaking that market overnight and sending yields surging. word that prime minister mario monti will resign early and that silvio berlusconi is considering a comeback. carolyn roth is live in rome with the very latest. what can you tell us? >> well, the perceived political calm that we've seen in italy over the last 13 months, that came to a very abrupt end over the weekend. that's when prime minister mario monti surprisingly resigned, which still hinges on...
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Dec 24, 2012
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here is sitting down with cnbc italy. yes, we do have a cnbc italy, quite powerful in italy. and he says, oh, he did not want to run for prime minister again but people have been twisting his arm because when he looked at the data, carl, he is the only one who can bring 40% of the vote. the vote is going to be in late february. mario monti just stepped down, the prime minister for the last year or so, passed a budget, said once i pass a budget i'm going to step down. this is monti we're talking about. over the weekend monti put up a plan on the internet and he said, okay. here is my economic plan. if there is a party in this plan i will be the leader of is that party and i, too, will run for prime minister. so this could be very interesting. silvio berlusconi had nothing good to say about mario monti during his interview and said every single economic indicator is lower since monti took over. they have been imposing us an tert measures. he said the markets were happy when monti stepped down and went on to say that the reason berlusconi had to step down in 2011, you remember t
here is sitting down with cnbc italy. yes, we do have a cnbc italy, quite powerful in italy. and he says, oh, he did not want to run for prime minister again but people have been twisting his arm because when he looked at the data, carl, he is the only one who can bring 40% of the vote. the vote is going to be in late february. mario monti just stepped down, the prime minister for the last year or so, passed a budget, said once i pass a budget i'm going to step down. this is monti we're talking...
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Dec 17, 2012
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italy is coming in. again, we'll keep an eye for my comments from mario monti throughout the day. >> the market is focused on the yen. it's been weaker across the board today. the yen has been down for the lowest in a year against the greenback. we hit 84.48. it's pulled back from that. sterling/dollar is steady at 1.6185. plenty of focus on the dollar and continuing ongoing fiscal cliff discussions. meanwhile, in china, leaders there have wrapped up their weekend of economic plan, a list of must-dos next year. also across expectations of any big stimulus, much like the $600,000 boost that we got in 2009. eunice is with us once again from beijing. hi, eunice. sum it up for us. >> well, i would say that we saw a lot of bright moves, a lot of brush strokes, but nothing in terms of specifics. for the most part, the policymakers were saying all the right things. they were saying they hope to see more economic reforms, that they hope to see more in terms of a shift in terms of, you know, moving the economy aw
italy is coming in. again, we'll keep an eye for my comments from mario monti throughout the day. >> the market is focused on the yen. it's been weaker across the board today. the yen has been down for the lowest in a year against the greenback. we hit 84.48. it's pulled back from that. sterling/dollar is steady at 1.6185. plenty of focus on the dollar and continuing ongoing fiscal cliff discussions. meanwhile, in china, leaders there have wrapped up their weekend of economic plan, a list...
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Dec 31, 2012
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italy around the 4.5% level. we've seen these predominant for several weeks and likely a quick check on forrus. the yen, an important one to keep an eye on, as well. dollar/yen firmer, continuing the patterns that we've seen over the last couple of trading sessions. for more on what to expect from markets today, we're joined by chris meyer, managing director and chief strategist from loop capital markets. chris, good morning. we wake up without a deal. what does that mean? what are you watching today? >> good morning, kelly. the thing i'm watching most specifically is the vix. i think the vix is the most distilled measure of risk that we have in the marketplace right now. we've noticed that the vix has gone from a fairly low range of 12 to 14. we're up over 20 now, which to me is an area of concern. if we begin to move higher, once again, i think we should watch out for market-based effects. >> we have, as you mentioned, started to see that outperformer. it's interesting in a year when the vix is tamed we haven't
italy around the 4.5% level. we've seen these predominant for several weeks and likely a quick check on forrus. the yen, an important one to keep an eye on, as well. dollar/yen firmer, continuing the patterns that we've seen over the last couple of trading sessions. for more on what to expect from markets today, we're joined by chris meyer, managing director and chief strategist from loop capital markets. chris, good morning. we wake up without a deal. what does that mean? what are you watching...
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Dec 19, 2012
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italy, oh, my, what happens when italy -- it turns out you had to take it down. i know that john corzine, very controversial figure. that's a code word. but what a trade they almost had. in the news again today. >> almost. >> horseshoes, hand grenades. >> we should point out, gm was certainly not having the easiest of times of it. this morning's stock is up sharply, we're telling you why. the company will buy back at a premium to at least what was the market price as of yesterday, 200 million shares from the government at $27.50. that having the effect of sending the stock above that. why not, if you're gm, you've got all this cash sitting on your balance sheet. you're earning virtually nothing on it, why not take the opportunity, even at a premium, to buy it back by as much as 11%, shrinking the cap by that much. we heard from tim massad who runs t.a.r.p., they'll be dribbling out the shares over time. the next 12 to 15 months. similar to the strategy employed with citi. a bit of it coming out. and finally they cleaned it up with a few big blocks. >> that was ve
italy, oh, my, what happens when italy -- it turns out you had to take it down. i know that john corzine, very controversial figure. that's a code word. but what a trade they almost had. in the news again today. >> almost. >> horseshoes, hand grenades. >> we should point out, gm was certainly not having the easiest of times of it. this morning's stock is up sharply, we're telling you why. the company will buy back at a premium to at least what was the market price as of...
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Dec 5, 2012
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though there are problems in some territories in europe like italy and spain, greece, of course. there are other strong markets. again, this is a reason why china and russia and brazil and india have become so important at the global scenario. >> okay, we wish you all the best. have a great few days there in singapore. >>> the british chancellor executive george osborne is giving his autumn statement today. the chancellor has already dropped big hints about what we can expect. katie barnfield has gone up to man chester to see how the government's economic mandate is really playing well. >> reporter: earlier this week, the chancellor george osborne warned that although the uk's economic recovery will take longer than planned, it would be catastrophic if he put down his austerity measures now. but it is a catastrophe already here? manchester looks like a thriving city. but with the surrounding areas home to some of the most economically disadvantaged parts of the uk. rows of shops stand unused and the number of people claiming benefits has risen almost 70% since 2008. the uk's oppo
though there are problems in some territories in europe like italy and spain, greece, of course. there are other strong markets. again, this is a reason why china and russia and brazil and india have become so important at the global scenario. >> okay, we wish you all the best. have a great few days there in singapore. >>> the british chancellor executive george osborne is giving his autumn statement today. the chancellor has already dropped big hints about what we can expect....
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Dec 19, 2012
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same for spain and italy. the boreses and footy 100, the xetra dax, this has been the outperformer up in the range of 30%. another .3% after the ifo out of germany. came in better than expected. again, a good sign for growth. not necessarily, though, for those who would like to see a weaker europe. the ibex 35 adding 1.3%. and the nikkei, as you mentioned, up above 10,000 for the first time in eight months. adding 2.4%. better hope the moves in the japanese government or bank of japan pan out. we'll get the bank of japan's decision tomorrow. but this comes on the day when, remember, it's on the weakening of the yen which we can show you on hopes that that will help the japanese corporate sector. remember, we saw export figures showing a drop of 20% in exports to the use. 15% to china. again, there's a lot of expectation built to this. the aussie/dollar remains the underperformer as we continue to evaluate china's internal rebalancing. now the sterling is stronger, the dollar/yen you already mentioned. and the
same for spain and italy. the boreses and footy 100, the xetra dax, this has been the outperformer up in the range of 30%. another .3% after the ifo out of germany. came in better than expected. again, a good sign for growth. not necessarily, though, for those who would like to see a weaker europe. the ibex 35 adding 1.3%. and the nikkei, as you mentioned, up above 10,000 for the first time in eight months. adding 2.4%. better hope the moves in the japanese government or bank of japan pan out....
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Dec 10, 2012
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cnbc's carolin roth will join us from italy with the latest in a few minutes. when i was over there, i had to have the -- all the political signs translated because there's a picture of monti sitting under a beach chair drinking a drink and all the text was send monti to the beach. they already didn't like him. >> he had very high disapproval ratings. i remember last summer i had seen that somewhere. >> they want to send him to the beach. the major european averages at this hour, there they, they're all down. not great in france, but germany down about .7% and the ftse down fractionally. other news out of europe, debt tieback for from an day to receive additional buyback offers. those would be at deeply discounted prices and that would help lower the country's debt lead. >>> in asia, stocks touched a 16-month high and closed mostly higher on the session with good gains, as you can see, with the kospi up the most, 1.5 points. >> strong nebs out of china which suggest maybe the economy is rebounding more than expected. >> the exports. >> yeah. >> among the cataly
cnbc's carolin roth will join us from italy with the latest in a few minutes. when i was over there, i had to have the -- all the political signs translated because there's a picture of monti sitting under a beach chair drinking a drink and all the text was send monti to the beach. they already didn't like him. >> he had very high disapproval ratings. i remember last summer i had seen that somewhere. >> they want to send him to the beach. the major european averages at this hour,...
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Dec 11, 2012
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italy is important. it's a big economy. we don't -- you know, compared to what's going on over here -- >> i missed mario monti on vacation. >> you missed him on vacation? >> no, i missed -- >> oh, you missed the story. >> it was huge. >> when i was there a year ago, i asked what do those posters say? and it was a picture of him in a beach chair. it said send monti to the beach. it doesn't take long to get -- how long is the average government in italy? >> i don't know. is kelly evans still with us? >> she's gone. that's about as long as a -- her report is about as long as the average government. but they have a figure. >> let's head to eric fisher on today's weather forecast. maybe he has the answer. >> eric. >> unfortunately not, guys. i know the weather changes quickly, and that's my business here. i don't deal with the italian government too much. but what we're watching for today too much in items of changes, it's colder outside. as soon as you walk out the door, you notice a big change in that cold front. this time yes
italy is important. it's a big economy. we don't -- you know, compared to what's going on over here -- >> i missed mario monti on vacation. >> you missed him on vacation? >> no, i missed -- >> oh, you missed the story. >> it was huge. >> when i was there a year ago, i asked what do those posters say? and it was a picture of him in a beach chair. it said send monti to the beach. it doesn't take long to get -- how long is the average government in italy?...
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Dec 17, 2012
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a lot in italy. >> it's an all-italian version of the european close right now, carl. mario monti, contrary to reports last week that he did not want to run for prime minister again, we now hear he's undecided, and may actually run for p.m. of the country. right now he serves technocratically. there's expected to be an election early next year, maybe in february or in march. he has told reporters that he's considering it. the cabinet member he spoke with earlier in the week said he's going to make an announcement sometime this week on television. when asked by reporters about his recent visit to the tomb of saint francis he said he did, indeed, pray there to help him make a decision about whether or not to run. a man eagerly awaiting monti's decision is silvio berlusconi, the former prime minister of italy. we're pretty sure he has not prayed at the tomb of st. francis lately. he has said that he devil wants to be run for prime minister again however at the same time he's also made noises that suggest that he wouldn't run if monti runs. that's not set in stone. we're g
a lot in italy. >> it's an all-italian version of the european close right now, carl. mario monti, contrary to reports last week that he did not want to run for prime minister again, we now hear he's undecided, and may actually run for p.m. of the country. right now he serves technocratically. there's expected to be an election early next year, maybe in february or in march. he has told reporters that he's considering it. the cabinet member he spoke with earlier in the week said he's...
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Dec 6, 2012
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italy in the red there really divergent from the rest of europe. germany up on the right, a good gain up over 1%, the italian market falls by 1%. silvio berlusconi is back in italian politics proving he still runs his party and withdrawing support from mario monti. this may lead to midterm elections because monti is market friendly you might not end up with a market friendly solution. we thought we'd have elections march/april, there's the prospect it could be a snap election much earlier perhaps in the new year. now the good news is there isn't a huge amount of blowout on the bonds at the short end of the italian markets. the yields are higher but not huge relative to where we've been but on the ten-year italian market you can see we're slightly higher but no great shakes overall. it means the rally in the peripheral bond market we've witnessed in italy and spain has now stalled at this stage. remember we had the auction in spain yesterday and the yields are slightly higher relative to where we've been, they're still relatively depressed. we talk
italy in the red there really divergent from the rest of europe. germany up on the right, a good gain up over 1%, the italian market falls by 1%. silvio berlusconi is back in italian politics proving he still runs his party and withdrawing support from mario monti. this may lead to midterm elections because monti is market friendly you might not end up with a market friendly solution. we thought we'd have elections march/april, there's the prospect it could be a snap election much earlier...
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Dec 7, 2012
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one is greece, one is italy. the developments today are both good from an american investing perspective because they keep a lid on what's happening in those two respects. in greece there was trouble on the streets of athens last night as a result of left-wing protesters and students out and police using tear gas to disperse them as they protested the death of a teenager as a result of a police shooting four years ago, but the more important thing from a market perspective is that in 30 minutes' time now, the book will close on the greek debt buyback. now, remember what's happening here. the greek government is borrowing 10 billion euros from the rest of europe to buy back its own debt at a discount. if it does that successfully, by midday our time when that book closes, then more cash will flow through from the rest of europe, possibly next week it will be able to repay its bills and capitalize on the banks. let's check the close. >> the european markets are closing now. >> so we kind of went nowhere today. a lo
one is greece, one is italy. the developments today are both good from an american investing perspective because they keep a lid on what's happening in those two respects. in greece there was trouble on the streets of athens last night as a result of left-wing protesters and students out and police using tear gas to disperse them as they protested the death of a teenager as a result of a police shooting four years ago, but the more important thing from a market perspective is that in 30...
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Dec 14, 2012
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i think once we get to the spring you'll see a lot more protests in greece and spain and italy. also i think if you look at the real numbers, rick, the real numbers are not as europe gives them to us. i mean, the real debt ratio, if you count it like ge or ibm and greece, is 450%. it's about 260% for italy and it's about 230% for spain and all of these things that aren't counted are going to come to roost over a period of time. so i think we're in a lull right now. i think mostly because of draghi and his comments that we're going to give money forever and save the world that i think as we head into the new year that's going to come to a conclusion. >> last question, we're running short of time. if you had an extra thousand dollars to invest right now, in something simple, in any country in the globe, where would you put it and what would it be? would it be fixed income, equities? >> fixed income, as long as you can go. investment grade. there is going to be tremendous compression. and i think that's the place to be. >> i'm in agreement with you. carl, melissa, back to you. >> t
i think once we get to the spring you'll see a lot more protests in greece and spain and italy. also i think if you look at the real numbers, rick, the real numbers are not as europe gives them to us. i mean, the real debt ratio, if you count it like ge or ibm and greece, is 450%. it's about 260% for italy and it's about 230% for spain and all of these things that aren't counted are going to come to roost over a period of time. so i think we're in a lull right now. i think mostly because of...
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Dec 11, 2012
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. >> remember yesterday and all that concern we had about where italy might go with the resignation of mario monti. greece is higher. por sh gal is higher. spain is higher. it's a good day for -- investor sentiment.strongly it was revealed today. optimism over what the fed is going to do in the united states tomorrow. optimism there will be a deal on the fiscal cliff. you have optimism that the recapitalization of the banks is going to be delayed by another year according to the bank of italy. and you have optimism as well on mar of election promises as we now face the pros wekt of a much earlier election in italy. to that end it is fascinating. sylvia berlusconi has come out today warning about the germano center of politics. in other words, too much of a focus on what is happening from germany and the austerity inspired by angela merkel. in particular, he is drawing attention to this. which is the spread of the extra that investors demand to hold italian bonds over german bonds. i've shown this to you a couple times. over the last year it's been a mainstay of a lot of the italian bus
. >> remember yesterday and all that concern we had about where italy might go with the resignation of mario monti. greece is higher. por sh gal is higher. spain is higher. it's a good day for -- investor sentiment.strongly it was revealed today. optimism over what the fed is going to do in the united states tomorrow. optimism there will be a deal on the fiscal cliff. you have optimism that the recapitalization of the banks is going to be delayed by another year according to the bank of...
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Dec 28, 2012
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. >> wa part of italy, do you know? >> cosanza is the town. it's the foot of the boot. >> not a bad part of italy. >> no, there's really not. >> bob, help us here. >> i don't know if i can. >> you've got to. >> rise above, bob. >> just explain the volatility issue at a minimum. where do we go over the next two days of trading? we have today, we have monday and obviously we don't have tuesday. >> well, i don't know that we do a whole lot. i believe markets are just on the sidelines since before the start of the holidays for the most part. i believe there were some people holding out waiting for a fiscal cliff solution. i think we're going over the cliff, but we're grabbing one of those cartoon roots sticking out as we go over it. i think it will be a matter of days before just the political pressure of going over the cliff causes them to do about a 12-month deal. it's just -- i don't know. i hesitate to say the word ridiculous, but it's just ridiculous to watch. so market participants, the short-term market participants are on the sidelines. i
. >> wa part of italy, do you know? >> cosanza is the town. it's the foot of the boot. >> not a bad part of italy. >> no, there's really not. >> bob, help us here. >> i don't know if i can. >> you've got to. >> rise above, bob. >> just explain the volatility issue at a minimum. where do we go over the next two days of trading? we have today, we have monday and obviously we don't have tuesday. >> well, i don't know that we do a whole...
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Dec 18, 2012
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we know that the ecb stands ready with unlimited support for spain and italy, when and if they sign on to oversight agreements. these are huge dramatic changes. think about how many times we've agonized over where the money would come from for bailing out spain and italy. now we know. when they sign on to oversight. >> the point is we know -- we know what the policy response already is by the ecb and the feds. so what is going to be the next catalyst to keep the markets to those new highs you're talking about? >> the next big catalyst is obviously the fiscal cliff resolution, second, you have spain sign on to oversight from the ecb. remove any possibility of spanish default and we think that lagarde is signaling that the conditions to that oversight will be a lot about labor market reforms. those are growth enhancing, so that's another great catalyst for the market. last, but certainly not least, i think you could see the new leadership team in china come more aggressive reform program than people are expecting. >> all right. michael, good to have you. >> thank you so much. >> michael
we know that the ecb stands ready with unlimited support for spain and italy, when and if they sign on to oversight agreements. these are huge dramatic changes. think about how many times we've agonized over where the money would come from for bailing out spain and italy. now we know. when they sign on to oversight. >> the point is we know -- we know what the policy response already is by the ecb and the feds. so what is going to be the next catalyst to keep the markets to those new highs...
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today italy has zero nominal gdp grets. and they're funding at 4.5%. that is a bad business model. spain same story. so when you bnk our package and what's been offered so are far which appears like $1.6 trillion in tax hikes against $400 billion of entitlement cuts over time, that's an even worse mix than the two-thirds/one-third european structure that really has gotten a negative reaction. >> how much is because of the mix and how much of it just this is what austerity looks like? >> is the money in capping deductions or raising marginal tax rates? it's in capping deductions. but that's tough because you have to tell someone no like the housing lobby or charitable contributions. >> capping deductions seems line the easiest. >> it should be, but remember, you'll have lobbyists pushing you on it. so that's tougher decision rather than raising taxes on one small part of the population and then on the spending side, making those long term spending cuts is the only way of stabilizing debt. the sink guegle biggest driver medicare. so if we don't make those tough decisions now, all we'
today italy has zero nominal gdp grets. and they're funding at 4.5%. that is a bad business model. spain same story. so when you bnk our package and what's been offered so are far which appears like $1.6 trillion in tax hikes against $400 billion of entitlement cuts over time, that's an even worse mix than the two-thirds/one-third european structure that really has gotten a negative reaction. >> how much is because of the mix and how much of it just this is what austerity looks like?...
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many areas whether you talk italy or indeed greece, rates are moving down. that isn't a bad thing for funding but it does ehave peopl look at spain saying they'll do bank bailout, old program, not country bailout new program. the correction was small. goldman says stocks are the place to be. kind of making this trade a little more true than it was on its knee jerk. if you look at putting it together. you can see we're up several basis points. still not huge. if you open it up to a one-month chart, you can see that 160 remains the pivot. it's still about europe. don't despair. i'm sure the red herring of bashing tax policy in the u.s. will get to the front page before the end of the session. >> thank you very much. let's check out latest news in energy and medals with sharon epperson. >> it's the euro that we see in euro dollar helping commodities and risk on trade across the board in the sector. the fact that we are looking at that euro dollar and above 130 level is significant. also keep in mind that we did get improving factory activity. that pmi data out
many areas whether you talk italy or indeed greece, rates are moving down. that isn't a bad thing for funding but it does ehave peopl look at spain saying they'll do bank bailout, old program, not country bailout new program. the correction was small. goldman says stocks are the place to be. kind of making this trade a little more true than it was on its knee jerk. if you look at putting it together. you can see we're up several basis points. still not huge. if you open it up to a one-month...